![More than two million low-paid workers will benefit from the industrial umpire's wage decision. More than two million low-paid workers will benefit from the industrial umpire's wage decision.](/images/transform/v1/crop/frm/silverstone-feed-data/fca82be7-6f29-4436-ab2a-16291e255171.jpg/r0_0_800_600_w1200_h678_fmax.jpg)
FAIR WORK COMMISSION MINIMUM WAGE DECISION
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KEY DETAILS:
* The national minimum wage will rise by 5.2 per cent, or $40 a week, to help Australia's lowest-paid workers keep up with rising living costs.
* The new wage will be $812.60 a week, or $21.38 an hour, effective from July 1.
* A slightly lower increase of 4.6 per cent will apply for those on modern award wages from July 1.
* However, aviation, tourism and hospitality sector workers won't get their pay increases until October 1.
* Fair Work Commission president Iain Ross says the commission has proposed a proportionately higher increase for low-paid workers because of existing and growing inflationary pressures.
* A real wage cut for some workers will be addressed in subsequent reviews.
REASONING
* Inflation is eroding the ability of low-paid workers to keep up with the cost of living.
* Non-discretionary components of the consumer price index, including basic food staples, increased by 6.6 per cent over the year ended March.
* The strength of the labour market, low unemployment and sharp rise in living costs mean the wage rises "will not have a significant adverse effect on the performance and competitiveness of the national economy".
Source: Fair Work Commission
Australian Associated Press